Addex Therapeutics (SIX and Nasdaq: ADXN), a clinical-stage biopharmaceutical company specializing in allosteric modulation-based drug development, and Perceptive Advisors, a life sciences-focused investment management firm, have jointly announced the establishment of Neurosterix. This new venture is dedicated to advancing allosteric modulators for the treatment of neurological disorders with significant unmet needs.

Backed by an initial investment of $63 million led by Perceptive Xontogeny Venture Fund II, with contributions from Perceptive Life Sciences Fund and Acorn Bioventures, Neurosterix will acquire a portfolio of preclinical assets and a cutting-edge allosteric modulator drug discovery technology platform from Addex. In exchange, Addex will receive CHF5 million and a 20% equity stake in Neurosterix. Notably, Addex will maintain its existing partnerships and unpartnered clinical stage assets, ensuring continuity in ongoing projects.

Tim Dyer, CEO of Addex, remarked, "The establishment of Neurosterix in collaboration with Perceptive represents a significant validation of our allosteric modulator drug discovery technology platform. This strategic move will expedite the development of crucial preclinical assets and propel them towards clinical evaluation." Dyer further highlighted the transaction's positive impact on Addex's financial position, extending its cash runway beyond 2026.

Allosteric modulators, a class of compounds that bind to receptors outside their active sites, offer potential advantages in terms of selectivity and precision in modulating biological pathways. Addex's expertise in this area, coupled with its robust pipeline of small molecule candidates, positions Neurosterix to address a spectrum of neurological conditions.

Fred Callori, Managing Director at Perceptive Advisors and Chairman of the Board of Neurosterix, emphasized the value inherent in both the assets transitioning to Neurosterix and the ongoing potential of Addex's drug discovery platform. "We recognize the untapped potential of these assets and the capacity of the allosteric modulator drug discovery technology platform to deliver transformative medicines," said Callori.

The newly formed Neurosterix will be guided by Tim Dyer, who will serve as CEO alongside his current role at Addex. Notable appointments include Lénaïc Teyssédou, Head of Finance at Addex, joining Addex Executive Management, and Robert Lutjens and Jean-Philippe Rocher transitioning to Co-Heads of Discovery at Neurosterix. Mikhail Kalinichev, Head of Translational Science at Addex, will also assume a similar role at Neurosterix.

With this strategic collaboration and the infusion of capital, Neurosterix is poised to advance the development of allosteric modulators, potentially offering new avenues for the treatment of neurological disorders.